The Estimated Total Factory Overhead Cost and Total Machine Hours

Essay

The estimated total factory overhead cost and total machine hours for Department 40 for the current year are $250,000 and 56,250, respectively. During January, the first month of the current year, actual machine hours used totaled 5,100 and factory overhead cost incurred totaled $22,000.
a.Determine the factory overhead rate based on machine hours.
b.Journalize the entry to apply factory overhead to production in Department 40 for January.
c.What is the balance of Factory Overhead-Department 40 at January 31?
d.Does the balance of Factory Overhead-Department 40 at January 31 represent over- or underapplied factory overhead?
Round total cost to the nearest dollar.